Denver, Colorado, March 05, 2021 (GLOBE NEWSWIRE) — via NewMediaWire — CBD Global Sciences, Inc. (OTC: CBDNF) (CSE: CBDN) (Frankfurt:GS3), (“CBD Global” or the “Company”), is pleased to share that state legislators in Indiana have reversed a ban on smokable hemp.
The Indiana state House has voted to reverse a smokable hemp ban being challenged in federal court. A bill approved 69-28 last week would remove references to “smokable hemp” from the state’s 2019 law setting up hemp regulations. Those regulations banned the production and sale of hemp flower products. The bill also repeals a law that requires that a hemp bud or a hemp flower be sold only to a processor licensed in Indiana. The measure now heads to the Indiana Senate. The Company is anticipating that other states will share the same outcome as the smokable hemp product is an all-natural method for CBD intake and is becoming a preferred method for CBD use amongst many consumers of CBD.
Smokable hemp is one of the fastest-growing sectors in the hemp industry. Analytics firm Nielsen Global Connect predicts that by 2025, the market could reach $300 million to $400 million, representing roughly 5% of the potential $6 billion to $7 billion hemp-derived CBD consumer products category. (Source Hemp Industry Daily)
Brad Wyatt, CEO of CBD Global Sciences, shared, “Strasburg Pharms has successfully converted its large-scale outdoor farming of industrial hemp to indoor smokable hemp with over 10,000 SF of indoor growing facility. The current growing capacity would enable the production of over $10M of smokable product (MSRP) annually and the farm has the ability to expand on existing land with addition indoor growing facilities by a 20X as demand for the product increases. With Legacy Distribution, the new distribution company added to the lineup of the CBD Global family of companies, I believe it is positioned to exploit the uptick in demand for the smokable product.”
In addition to the foregoing, the Company provides the following update to the previously announced matter with one of its subsidiaries, Global NV Corporation (“GNV”). As reported, GNV received a claim from a former landlord with respect to a commercial lease agreement entered into by GNV in October 2018 (the “Lease”). The Lease was abandoned by GNV in January 2019 due to Adams County Fire Department identifying the need for upgraded sprinkler systems that were not highlighted by the landlord as being required for the type of operation when GNV took possession of the property. Neither the landlord nor GNV believed it was their responsibility to improve the facility as required by Adams County FD. The landlord under the Lease seeks to recover from GNV unpaid lease payments for the remainder of the Lease period (subject to mitigation) in the gross claimed amount of $550,000 plus fees. Management of GNV is vigorously defending the claim. To date the Landlord has become an aggressive creditor pushing the Company to evaluate the opportunity to seek protection under the Chapter 11 (subsection(v)) bankruptcy laws in the United States for the subsidiary company, allowing the subsidiary to reorganize its debt and present a plan for GNV’s continued operations. CBD Global, GNV’s parent company, has a vested interest in successfully navigating through this matter despite the creditor’s claims.
ABOUT CBD GLOBAL SCIENCES INC.
CBD Global Sciences, Inc., is a vertically integrated hemp-based CBD producer and branding investment vehicle which currently owns two product categories, branded under the name Aethics™ (www.aethics.com) and CANNAOIL (www.cannaoilshop.com), which include CBD Oil tinctures (liquid products), CBD capsules, CBD topicals, Hydration products and Confectionary products. CBD Global Sciences hemp-derived CBD extracts are sold through select distributors, brick and mortar retailers, and online.
CBD Global Sciences, through its wholly owned subsidiary, Strasburg Pharms, grows, and operates irrigated land in Colorado, that grows hemp with only all-natural Colorado water, soil, sun, and nutrients and NEVER sprayed with pesticides or chemicals. Our genetics are hand selected and maintained to present the best cannabinoid profile with extremely high CBD.
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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain “forward-looking statements” under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to future developments and the business and operations of the Corporation after the CSE listing. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to general business, economic, competitive, political, and social uncertainties; and delay or failure to receive board, shareholder, or regulatory approvals. Readers should not place undue reliance on forward-looking statements. The Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.